Chicago-based North Park Ventures has paid $13.7 million on a 30-unit condominium building in Chicago’s Lakeview neighborhood. The buyer plans to convert the units into rental apartments and also add a new five-story, 22-unit multifamily property on an adjacent parcel. A team of brokers from Interra Realty represented both sides in the transaction.

The previous owner received an average price per unit of nearly $381,000, which according to Jon Morgan, a co-founder & managing principal at Interra Realty, is much higher than that paid for other deconversions in the area. The company’s co-founder David Gross and Managing Partner Joe Smazal also took part in the deal.

“Across the city, but especially in transit-oriented locations like this one, we’ve seen strong interest from investors looking to capitalize on rising rents in Chicago’s neighborhoods,” said Morgan in prepared remarks. “The number of offers received for 3264-70 N. Clark suggests the deconversion trend will continue into 2018, with some buyers willing to pursue more challenging deals due to the attractive returns they offer.”

Room for growth

The building is located at the intersection of School and Clark Streets, approximately half a mile south of Wrigley Field and close to a Roger Park community, which Interra helped sell several months ago. In addition to the residential component, the property encompasses nearly 7,600 square feet of ground-floor retail space divided into six stores. The community features a mix of one-, two- and three-bedroom floor plans, private outdoor space, courtyard, a shared dog run, bike room and storage lockers.

The planned, adjacent multifamily building is slated to add 22 units ranging in size from 600 to 1,400 square feet and a 13-vehicle parking lot. The penthouse units will offer private terraces.

Residents will have access to several CTA lines, a variety of entertainment and shopping venues, restaurants and also the Lakefront Trail, an 18-mile multi-use path.